HotForex Review [2021]: Pros & Cons Unearthed

July 21, 2020
Brokers
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HotForex is one of the few trading applications that has gained a lot of popularity in recent times for its versatile account types and fair fee structure. The app offers 100+ stocks & ETF’s, 11 commodities and more than 50 Forex pairs. Similarly, it offers a plethora of deposit and withdrawal options. HotForex also has a great demo account with good educational resources and the fact that you can start with as little as $5 deposit means that it can be a great app for you to get started with trading.

On the contrary, if you are looking for looking for a broker that offers lots pf stock & ETFs, commodities and bonds then Join Capital.com, which offers more than 1,700 stocks & ETFs, 100’s of bonds, and more than 20 commodities. Capital.com is also a no commission broker like Capital.com that bodes well for making affordable trades. Capital.com also has the most educational resources to train you into a trading genius.

We analyzed hundreds of data points relevant to the costs, benefits and features of trading with HotForex and scored our findings on a 10-point scale across 10 distinct categories.
 HotForexCapital.com
1 - Fees810
2 - Signup Process710
3 - Minimum Deposit1010
4 - Ease of Use910
5 - Deposit & Withdrawal Options1010
6 - Customer Support710
7 - Asset Classes610
8 - Referral Program 01
9 - Demo Account & Educational Resources810
10 - Safety & Regulation1010
TOTAL7591

What Is HotForex?

HotForex is an online broker established in 2010, which is regulated by the UK’s Financial Conduct Authority (FCA) and Cyprus’s Securities Exchange Commission (CySEC). It has clients in over 100 countries and offers assets like stocks, ETFs, CFDs and Forex for trading. It offers a plethora of accounts for different types of forex traders depending on their usage. The application has also received many positive reviews for its demo account that can help you trade different types of assets with paper money and instructional videos so you can get started with trading on the platform. The broker is available in over a 100 countries and includes the following nations.

Abu DhabiGhanaNorth Macedonia
AlbaniaGreeceNorway
AlgeriaGuatemalaOman
ArgentinaHondurasPakistan
ArmeniaHong KongPanama
AustraliaHungaryParaguay
AustriaIcelandPeru
AzerbaijanIndiaPhilippines
BahrainIndonesiaPoland
BangladeshIrelandPortugal
BarbadosIsraelQatar
BelizeItalyRomania
BoliviaJamaicaRussia
BrazilJapanSaudi Arabia
BulgariaJordanSerbia
Burkina FasoKuwaitSingapore
CambodiaKazakhstanSlovakia
CameroonKenyaSlovenia
ChadLatviaSouth Africa
ChileLebanonSouth Korea
ColombiaLesothoSpain
Costa RicaLithuaniaSri Lanka
CroatiaLuxemburgSweden
CyprusMadagascarSwitzerland
Czech RepublicMalawiTaiwan
DenmarkMalaysiaTanzania
Dominican RepublicMaldivesThailand
DubaiMaliTrinidad
EcuadorMaltaTunisia
EgyptMauritaniaTurkey
EstoniaMexicoUganda
EthiopiaMoldovaUruguay
FinlandMongoliaUK
FranceMontenegroVenezuela
GabonMoroccoVietnam
GeorgiaMozambiqueNicaragua
GermanyNew ZealandZambia
NepalNetherlandsZimbabwe
Nigeria  

HotForex covers a lot of countries across different continents however,

If you are someone in Africa or Asia and are looking for a good broker, do check out IQ Option and easyMarkets as well, as these brokers cover a lot of African and Asian nations and offer some decent value for traders across regions. We also recommend you to have a look at CMC Markets as it is also one of the strongest brokers in our database and covers a lot of African and Asian nations. Many of our brokers in Southern African and far east countries like South Africa, Zimbabwe and Indonesia have tried these brokers and given us positive feedback.

Pros & Cons

Let’s examine some of the pros and cons of using HotForex to see how the application may be of benefit to you.

ProsCons
Detailed educational materialSlow email Response
Real-time stock dataLimited asset options 
Different accounts with different spreads
that you can opt for depending on your trading propensities
No active referral program
Regulated and safeOutdated interface

Account Types

There are several types of accounts with HotForex that cater to different types of users. The key differences between them are the minimum deposits, the spreads they offer and the leverage you can access when trading on margin:

Account Type

Leverage

Micro Account

1:1000

Premium Account

1:400

Zero Account

1:200

Fixed Account

1:400

Vip Account

1:300

Auto Account

1:400

PAMM Account

1:300

As you can see there are various types of accounts. Micro Account,  allows you to use leverage up to 1:1000 which can allow you to earn a lot of money in trading. However, leverage also has a lot of risks as you can also lose a lot of money. The Micro Account can be used by beginners and professional margin traders alike because you can literally start trading with a deposit of $5. Most account types have similar spreads aswell and feature apart from the VIP & Zero Account which have slightly different features.

HotForex VIP & Zero Account

The VIP and Zero Account can be used by professional forex investors for lower spread trades with spreads of 0 pips and 0.2 pips respectively. This can help professional traders in maximizing their profits.

In this review, we will focus more on the Micro Account than on the others, as it is the one that anyone can use to get started.

Word Of Caution For Leverage Users

The broker offers leverage aswell. If you are new to using leverage and want to use it in your trades, we advise being careful. Because if you use leverage for trading you can end up losing more than you make.

Here’s a breakdown of our 10 scoring categories, each scored out of 10 for a total of 100 points.

#1 Fees

Trading Fees

With HotForex, the fees for trading forex are low, as commissions start from $0.03 USD per 1,000 lots. Apart from these commissions, there is also a range of spreads for trading that depend on the account type that you have. The table below looks at some of the spreads for the various accounts.

Forex Spreads Summary

Let’s decouple some of the forex spreads available at different account types with HotForex for different account types.

Account Type

Spread

Micro Account

From 1 pip

Premium Account

From 1 pip

Zero Account

From 0 pip

Fixed Account

Fixed Spread

Vip Account

From 0.2 pips

Auto Account

From 1 pip

PAMM Account

From 1 pip

As you would have seen from the table above, forex trading costs are low for the VIP account which has no spreads. The basic account starts with 1 pip which is not exactly the cheapest rate but competitive with other trading applications out there. 

Common Forex Spreads At HotForex

Let’s have a look at the forex spread rates for most account types apart from the VIP and Zero Account types as they tend to have lower spreads than the other account types.

SymbolCurrrencySpreads
CADCHFCanadian Dollar/Swiss Franc2.3
CADJPYCanadian Dollar/Japanese Yen2.7
CHFJPYSwiss Franc/Japanese Yen2.7
EURCADEuro/Canadian Dollar2.6
EURCHFEuro/Swiss Franc1.9
EURGBPEuro/Great Britain Pound1.5
EURJPYEuro/Japanese Yen1.6
EURUSDEuro/US Dollar1.2
GBPCADGreat Britain Pound/Canadian Dollar4.1
GBPCHFGreat Britain Pound/Swiss Franc2.4
GBPJPYGreat Britain Pound/Japanese Yen2.9
GBPUSDGreat Britain Pound/US Dollar1.7
USDCADUS Dollar/Canadian Dollar1.8
USDCHFUS Dollar/Swiss Franc1.8
USDJPYUS Dollar/Japanese Yen1.7

The spreads are on the expensive side if you compare them to other brokers. For instance, brokers like Tickmill can have spread from 0 pips aswell. Although the list above illustrates major forex pairs the broker tends to have a lot of variation of spreads between different currencies. For instance, USD/JPY has 1.7 pips which offer good value for this pair as it can usually be very expensive at more than 3-4 pips at times but the GBP/CAD pair is a bit expensive compared to other brokers in our database. Similarly, the EUR/USD also offers decent value but CAD/JPY is slightly expensive. So if you’re a forex trader you actually need to do a bit of math to see which forex pairs you like to trade before signing up with HotForex.

HotForex Zero Account Spreads

The Hotforex account offers lower spreads with the Zero Account that is targeted more towards professional traders.

Forex PairsZero Account Spreads
EURUSD0.1
EURJPY0.8
GBPUSD0.4
GBPJPY1.4
USDCHF0.8
USDJPY0.2
AUDUSD0.8
EURGBP0.4
CADJPY0.9
AUDCAD1.4
AUDNZD1.9
CHFJPY1.6

The zero account is the premier account of the broker for traders who trade in bulk. Keeping that in mind these spreads are still too expensive as most brokers charge small commissions and completely have very minimal spreads below 0.1 pips for most major pairs, unlike HotForex. However, the commission for this zero account is low and starts from $0.03 per side.

Stock Spreads

Let’s see some of the stock spreads to see the value offered by the broker over here, especially if you are a stock broker looking at HotForex.

Company SpreadsCompany SpreadsCompany Spreads
Adidas.K0.33Canopy0.03IBM0.06
AIRFKLM.K0.017CHEVRON0.04ICAG0.4
ALCOA0.04CISCO0.04ILMN0.41
ALIBABA0.2COKE0.04INTEL0.04
AMAZON1.3Daimler.K0.12LLOY0.49
AMEX0.06Danone.K0.14Lufthansa.K0.11
ANGLO2.56EBAY0.04LVMH.K0.31
APPLE0.5FB0.6Mapfre.K0.016
Bankia.K0.017GE0.04MCARD0.22
BARC0.5GOOGLE1.09MCDON0.14
Bayer.K0.13GS0.16MSFT0.04
BBVA.K0.013GW_Pharma0.72Natwest0.5
BOA0.04HLT0.1Netflix0.37
BOEING0.13HSBCL0.49PFIZER0.04
BPLON1.13Iberdrola.K0.018QCOM0.06

The common spreads for most account types mentioned above offer some amazing value for users. Most spreads of tech companies like Microsoft and Netflix are under 1 pip something that most brokers cannot boast of. The broker also gives a good range of stocks covering most industries like pharma, tech and banks.

Non Trading Fees

Non-trading fees consist of fees such as deposit, withdrawal and inactivity fees which are not directly linked to trading. Membership fees are also considered to be part of non-trading fees. These are usually charged by high-end brokers. However, a key point that we like to highlight is that a couple of broker reviews falsely claim that the broker charges deposit and withdrawal fees. However, according to our research and the broker’s own website, there are no deposit and withdrawal fees. We recommend that whenever you do research on a broker you check out multiple sources and always confirm from the broker’s own website.

Hot Forex Deposit, Inactivity & Withdrawal Fees

Some good features are that there are no inactivity, deposit or withdrawal fees associated with your HotForex account. This is something really good because some applications have withdrawal and deposit fees that can really decrease the profit margins for beginners or people not making big trades.

How We Rank Fees

At Yore Oyster, we rank fees based on both trading and non-trading fees. Non Trading fees consist of deposit, withdrawal and inactivity fees. The commissions and spreads associated with each asset type are also built in the score to determine the overall value.

Final Verdict On Fees

The broker generally has slightly expensive forex spreads for most account types. However, it does a good job of having no non-trading fees due to which it scores a decent 8 as per our scoring guidelines.

HotForex Fees Score: 8/10

#2 HotForex Signup Process

The signup procedure is completely online and instant. You can signup directly on HotForex‘s website. They will only ask for basic identification details and contact details. The account is opened within 3 minutes. However, the account validation process can take up to 48 hours.

These are some of the proof of ID and Residence documents you’ll need to have at hand which may include:

Proof Of ID Documents

  • Valid Passport
  • National Identity Card
  • Drivers License

Residency Documents

  • Tax statement or Bank statement (issued within the last 6 months)
  • Government-issued insurance or medical card
  • Utility bill (electricity, gas, home internet, landline phone, issued within the last 6 months). The document must show a service that has been provided to your residency in the last 6 months.
  • Address Confirmation/Statement from the local Mayor office/Municipality which should not be older than 6 month

How We Rank The Signup Procedue

We ranked the signup procedure based on how quick and easy it is to open an account and we base our score on the following criteria:

  • The speed with which the documents can be uploaded
  • Number of documents required
  • The time the verification process takes

The easier an account opening process is without unnecessary checks the higher the score is for this dimension.

Final Verdict on HotForex Signup procedure

The easy and instantaneous procedure with which you can open an account bodes well for the broker in this category. However, the verification process can be lengthy and take up to 2 days due to which it only scores a 7/10 for this dimension as per our scoring analysis. Because there are brokers that allow for same-day account verification.

HotForex Signup Process Score: 7/10

#3 Minimum Initial Deposit For HotForex

As we mentioned previously, each type of account has a different minimum initial deposit. The table below shows the amounts for the different account types. 

Account Type

Minimum Deposit

Micro Account

$5

Premium Account

$500

Zero Account

$100

Fixed Account

$500

Vip Account

$20,000

Auto Account

$500

PAMM Account

$250

The initial deposit for opening a HotForex Micro Account is $5. The Micro Account is a really good option for anyone to get started with trading forex, stocks and commodities, as you can instantaneously open an account and get started with a small deposit. If you’re looking for a platform to quickly get started with trading, choosing Webull’s Micro Account is a solid choice.

You can also opt for other accounts depending on the volume of trading you do and the spread rates that you want to avail yourself. For instance, if you are a professional trader you could get a Zero Account to trade with lesser spreads. If you want to look at other brokers with no minimum initial deposit requirements have a look at FXTM, IronFX, RBC Direct Investing as these brokers have no minimum initial deposit requirements and have good demo accounts and educational resources to get you started with trading.

How We Rank Minimum Initial Deposit

The formula here is simple, the lower the minimum initial deposit the higher the score. We at Yore Oyster believe that everyone should be able to try out a broker without having to deposit thousands of dollars to get the opportunity to do so.

The Scoring Threshold For Minimum Initial Deposit

If a broker has a requirement for upto $100, the score here is a perfect 10, as most people can afford to invest. However, if a broker charges upto $500, it still scores a healthy 8 because most of our readers believe they can invest $500 to try out a broker’s services. However, as the minimum initial deposit requirements rise above $500 most of our readers feel a bit hesitant to try out a broker due to which the score decreases.

Final Verdict On HotForex Minimum Initial Deposit

The final score for this dimension is a perfect score. HotForex allows all potential investors to try out the platform with low minimum initial deposit requirements due to which it easily scores a perfect score. If you want to look at other brokers with no minimum initial deposit requirements have a look at FXTM, IronFX, RBC Direct Investing as these brokers have no minimum initial deposit requirements and have good demo accounts and educational resources to get you started with trading.

HotForex Minimum Initial Deposit Score: 10/10

#4 HotForex’s Ease of Use

HotForex’s interface is detailed but lacks good graphics. You can see the trend of your asset along the passage of time on the dashboard with various stat tools like Moving Average Lines. The broker uses Meta Trader 4 platform, which is a common platform in the brokerage world.

Meta Trader 4 Platform

One of the most commonly used trading platforms, Meta Trader 4 is used by hundreds of brokers around the world. The interface of Meta Trader 4 is not very user-friendly in terms of graphics as it has outdated graphics that need to be revamped. However, in terms of having comprehensive charting tools and statistical tools, Meta Trader completely fits the bill. It is the reason perhaps that the platform is home to hundreds of brokers because it covers all the basics and provides you with a solid foundation in trading. As a platform, we think it’s an ideal platform for individuals who are pro traders and have been trading for some time, though it can be a little complicated and daunting for beginners.

MT4 Web & Desktop Trading Platform

The Meta Trader 4 platform provided has a lot of detail in terms of statistical metrics that users can use. A drawback is that the graphics of the applications are a bit outdated and something that the platform can and perhaps should improve upon. The Meta Trader 4 platform can be a bit daunting for beginners to get started with but be a bit easier for professional traders. Professional traders may be used to it because of its pervasiveness in the market and the fact that they may have used it in the past.

MT4 Mobile Trading Platform

Offers a lot of options in terms of customizability. For instance, you can choose your own metrics to evaluate your assets, design your own dashboards. Moreover, you can also set up alerts for prices and different market movements on your mobile.

MT4 Platform Languages

The Meta Trader 4 platform is a global platform that supports hundreds of online brokers. A good feature of the platform is that it has a lot of languages that cover most of the people in the world. The Meta Trader 4 platform is available in:

ArabicGreekPersianGerman
BulgarianHebrewPolishMongolian
ChineseHindiPortugueseThai
CroatianHungarianRomanianTraditional Chinese
CzechIndonesianRussianTurkish
DanishItalianSerbianUkrainian
DutchJapaneseSlovakUzbek
EnglishKoreanSlovenianVietnamese
EstonianLatvianSpanish
FinnishLithuanianSwedish
FrenchMalayTajik

As you can see, the platform covers many of the commonly spoken languages around the world. This offers some really good value for users across the world who want to trade in their own language.

Charting Tools

The charting tools offer decent value in terms of giving a trend of past price fluctuations and the variances associated with an asset. However, the interface for charting does seem like something out of a 1990’s Sega Game and Meta Trader could do much to improve it as it is one of the most widely used trading platforms in the world. They could do a better job of improving and enhancing the user experience and useability of the platform.

Multibank

Desktop & Web Platform

The Meta Trader 4 platform provided has a lot of detail in terms of statistical metrics that users can use. A drawback is that the graphics of the applications are a bit outdated and something that the platform can and perhaps should improve upon. The Meta Trader 4 platform can be a bit daunting for beginners to get started with but be a bit easier for professional traders. Professional traders may be used to it because of its pervasiveness in the market and the fact that they may have used it in the past.

Mobile Platform

Offers a lot of options in terms of customizability. For instance, you can choose your own metrics to evaluate your assets, design your own dashboards. Moreover, you can also set up alerts for prices and different market movements on your mobile.

Charting Tools & NewsFeed

The broker has a charting tool and autocharting feature. Charting tools available at HotForex allow users to keep a track of long term trends and variations associated with any particular asset. Moreover, the broker also has its own research team that allows for research articles and trading tips and guidance.

HotForex Social Trading Platform HF Copy

You can use HFCopy to copy trading strategies in a particular trading group. The fee for this is around 300 Euros. Moreover, you can also pay 1,000 Euros to get your own HFCopy group where you can lead trading strategies etc.

HotForex, has a decent news feed feature that enables you to trade smartly by making an informed decision, coupled with good trading features.

How We Rank Ease Of Use

Ease of use comprises of the overall user experience provided by a platform. We rank this dimension according to the following criteria:

  • Intuitive Interface Across All Platforms
  • Customizability Options Available To You
  • Advanced Research Tools For Analysis

Having an intuitive interface was ranked as the number one factor by most of our users in considering a broker with a good interface. The options available for customizing dashboards and statistical analysis were also very important factors according to our audience.

Final Verdict On Ease Of Use HotForex

Despite the slightly outdated interface, the broker goes the extra mile in ensuring that it has strong newsfeed features. Moreover, the broker also offers the choice of social trading in the form of HFCopy something not provided by many brokers due to which it scores a cool 9/10 as per our scoring guidelines.

HotForex Ease of Use Score: 9/10

#5 Deposit & Withdrawal Options  On HotForex

This is an aspect in which HotForex does very well. There are several ways in which you can deposit and withdrawal funds from your accounts with HotForex, namely:

  • Bank Transfer
  • Mastercard and Visa
  • Neteller
  • Union Pay

The only issue with these deposit and withdrawal options is that you must use the same medium for deposit and withdrawal. For instance, if you used a bank transfer for a deposit and you need to withdraw funds, you’ll have to use a bank transfer as well.

How To Deposit & Withdraw Fees

  • Go to your HotForex account area
  • Select Fund Deposit or Withdrawal method and amount
  • Choose your desired method of withdrawal
  • Confirm your details
  • Submit your details and requirements

How We Rank Deposit & Withdrawal Options

Having a lot of Deposit & Withdrawal options gives you the flexibility to deposit and withdraw fudns in the manner that best fits your needs. We rank this dimension according to the following criteria:

  • Ways in which you can deposit your funds
  • Ways in which you can withdraw your funds
  • Number of options within different Deposit and Withdrawal Types

We look at 3 main options that a broker needs to offer for a perfect score as these are the most commonly used by brokers:

  • Credit/Debit Cards
  • Bank Transfer & Wire Transfer
  • E-Wallets such as Paypal, Skrill and WebMoney

Final Verdict On Deposit & Withdrawal Methods

The final score based on the versatile set of options and the ease with which users can deposit and withdraw funds means that the score is a perfect 10.

HotForex Deposit & Withdrawal Options Score: 10/10

#6 Customer Support At HotForex

Customer support is available via the 3 commonly used platforms. We Recommend that you strongly consider this dimension when choosing a broker because this happens to be one of the most important dimensions for our users when chooosing a broker. The customer support is available via:

  • Phone 
  • email 
  • live chat (on their website)

Customer Support Pros & Cons

Pros Cons
Quick Live chatMay not get relevant answers via live chat
Detailed & Quick Response via Phone24/5 Availability rather than 24/7
Detailed Response On EmailSlow Email Response

The email response usually takes more than 24 hours. Telephone support is available 24 hours on weekdays. However, due to the slow email and some limitations of the live chat features such as slow response at times do not bode well for users. But the email response and detailed response provided by the broker provides decent value.

How We Rank Customer Support

Customer support plays an important role in getting much needed help. Our criteria takes into account the 3 most pivotal factors considered by our viewers which include:

  • Availabiltiy of Support via Live Chat, Phone & Email
  • Speed & Quality of Response Across Platforms
  • Availability of Customised Support Such as a Dedicated Account Mnager

The customer support dimension is a really important dimension for most of our readers. Hence, we not only take into account all the platforms that are used to provide support but the quality of the support provided and the consumer feedback.

Final Verdict On Customer Support

The fact that the broker’s pros and cons almost balance each other means that HotForex just scores a paltry 5/10 rather than a higher score.

The score is low because of the pro-active tools by other competitive applications like Capital.com and Webull.

Hotforex customer service

HotForex Customer Support Score: 5/10

#7 Asset Classes At HotForex

HotForex offers the ability to trade 6 main asset classes. This offers good value interms of range but interms of options the broker lacks a few things as we will delve upon below.

Asset Number Of Options
Currency Pairs50+
Commodities11
Indices6
Stocks100+
Crypto4
Bonds3

You can trade on over 100 stocks, 50 currency pairs and several commodities like sugar, coffee and gold. Similarly, you can also purchase more than 100 CFDs. The variety of assets provided is slightly better than many apps that just provide Forex and CFDs. Let’s decouple each asset class one by one to see what kind of variety is provided by HotForex as a broker and if it fits the bill to be your broker of choice.

HotForex Major Forex Pairs

The broker does a good job in covering a lot of the major forex pairs. Options offered by HotForex include the following:

CADCHFEURGBPGBPJPY
CADJPYEURJPYGBPUSD
CHFJPYEURUSDUSDCAD
EURCADGBPCADUSDCHF
EURCHFGBPCHFUSDJPY

The list above covers most of the major forex pairs. For instance you can trade swiss francs, US Dollars, Canadian Dollar and Japanese Yen with HotForex which is a really good option for users. We really value the fact that a broker cover assets commonly traded on most portfolios from most brokers to provide good range for users. Kudos to HotForex for covering most of the major forex pairs. let’s see if they do the same for minor pairs.

HotForex Minor Forex Pairs

Let’s decouple what’s on offer for minor pairs.

AUDCADNZDCHFEURPLNUSDPLN
AUDCHFNZDJPYEURSGDUSDRUB
AUDJPYNZDUSDEURZARUSDSEK
AUDNZDSGDJPYGBPAUDUSDSGD
AUDSGDUSDCNHGBPNZDUSDTHB
AUDUSDUSDCZKGBPSGDUSDTRY
CHFSGDUSDDKKGBPZARUSDZAR
EURAUDUSDHKDNZDCADUSDMXN
EURHUFUSDHUFEURNOKZARJPY
EURNZDUSDNOK

There’s some amazing value in that list. The broker does a good job in offering a huge slew of forex pairs that people looking to invest in forex can invest in. The minor pairs offered also provide a good opportunity for any forex investor to achieve diversification. HotForex offers the Norwegian Krone, Hungarian Franc, Mexican Pesos, South African Rand and Hong Kong Dollars. The broker offers amazing value for the forex broker here and the broker lives up to its name as far as its forex portfolio is concerned.

Commodities At Hot Forex

Let’s decouple the commodities offered by the broker to see what kind of range they offer for one of the most commonly traded asset types, that is commodities. The options offered by the broker include:

PalladiumPalladium
PlatinumPlatinum
XAGEURSilver/Euro
XAGUSDSilver/US Dollar
XAUEURGold/Euro
XAUUSDGold/US Dollar

The broker mainly jsut offers precious metals like gold, silver, palladium, platinum and silver. However, it could have provided other commodities like coffee, soybean and corn for users to provide some really good value for seasoned commodity traders looking to use the HotForex platform. However, the broker does not do so and loses out on an opportunity to appeal to a wide variety of commodity traders.

Stock Indices

The broker covers some of the more strong and commonly found stock market indices which include the following:

USA 30
USA 500
FRA 40
GER 30
UK 100
AUS 200
USA 100

You can see that the broker covers the 4 or 5 most strong stock markets in the world and in doing so provides users with a good opportunity to trade indices of whatever market that they want to trade in. Stock indices are often a good way of adding stability to risky portfolios and HotForex provides you the opportunity to do so by providing a decent variety in this area which bodes well for users of the platform.

Stocks

How We Rank Asset Classes

The criteria for ranking asset classes is pretty simple and as follows:

  • Number Of Asset Classes Offered, such as crypto, forex, stocks, ETFs and bonds.
  • Options Provided within each asset class

The more asset classes a broker provides, the more the chance to diversify your portfolio. Diversified portfolios often help in mitigating risk and long term profitability. This is the reason due to whch we give higher ranking and weightage to brokers who give you the option to hedge your risk.

Final Verdict Asset Classes

However, despite that the breadth of asset options is wide, the limitations of availability of assets in different countries enable the app to only get a score of 7/10 in our scoring system.

Related: Read our reviews for other financial strategies such as developing passive income streams that can help you retire early.

HotForex Asset Classes Score: 7/10

#8 Referral Program

Referral programs play an important role in making trading fun because you can use the platform with friends and learn more. However, there is no active referral program for HotForex and this also reduces the chance that you have to earn more funds.

How We Rank Referral Programs

The more rewards a broker gives the higher the score for this dimension. Rewards are a good way for encouraging beginners to start trading with friends and family making the experience enjoyable, due to which we encourage brokers to offer more and more rewards. We also take into account how difficult it is to attain these rewards.

Final Verdict Referral Program

The broker does not have an active referral program Hence, the score for this is 0 as the broker misses out on the chance of promoting individuals to trade socially which can often help in good learning of the art of trading.

HotForex Referral Program Score: 0/10

#9 Demo Account & Educational Resources

Demo Account

HotForex has a good demo account. It offers educational training videos on how to trade and become profitable. It also offers you a $100,000 paper trading balance to get started with trading and testing out your strategies. The demo account has no time limit as of yet due to which it offers some amazing value for potential investors looking to use the HotForex platform.

How To Open Demo Account

  1. Go to the HotForex website and select ‘Open Demo Account’.
  2. You will be directed to a new page that will inform them of the purpose of the HotForex Demo Account and display the option to open a demo account as an existing or a new client.
  3. Users can choose whether they want to open the demo account as an individual, corporate entity, or open a joint demo account with a friend or family member.
  4. You need to enter some basic information such as country of residence, personal and contact information before selecting ‘Register’.
  5. Once the information has been submitted, traders may need to verify their email addresses before being able to access the client portal and subsequently the demo account. Click the following link to Open a Demo Account.

HotForex Educational Resources

Some of the other features and training provided by the online platform are:

ResourcesAvailability
Seminars / WebinarsYes
Educational ArticlesYes
Platform / Trading TutorialsYes
Online CoursesNo

The platform provides seminars and webinars on trading different assets in different market environments and conditions. This offers some practicial advice for investors because often brokerage educational resources can be a bit too theoretical in their educational resources but HotForex helps in avoiding this peril by providing good educational resource in seminars and webinars. The broker also provides educational articles on current market conditions and environments that can have an effect on different asset types. The trading and platform tutorials have a good way of teaching you how to trade assets and how the HotForex trading platform works.

Pros & Cons Of HotForex Educational Resources

Pros Cons
Practical EducationNo Online Courses
Interactive Tutorial VideosCan Be A Bit More Structured
Upto Date Articles 

The pros and cons of the educational resources shows that the broker offers alot of practical and theoretical knowledge for users however, it misses a bit of value in not providing online courses.

How We Rank Demo Account & Educational Resources

The purpose of a demo account and educational resources is to train users to make informed decisions. Our crtiteria marks every broker on the quality of training that they provide beginners with. Our criteria is as follows.

  • The demo account should not have a time limit or a paper trading limit to get a perfect score
  • Educational Resources should include tutorials, webinars and online courses to ensure that anyone new to trading can quickly learn and trade profitably
hotforex edu

Final Verdict HotForex Educational Resources

The broker covers most of the basis here means that they score a very good score. Only reason it loses a couple of points is that it does not offer extensive online courses like some brokers in our database.

HotForex Demo Account & Educational Resources Score: 8/10

#10 HotForex Safety & Regulation

Hot Forex is regulated by UK’s Financial Conduct Authority (FCA) and Cyprus’s Securities Exchange Commission (CYSEC) among several other regulatory authorities. Hence, this lends credibility to the platform as it is regulated by 2 strong regulatory authorities. This augers well for users because they can trade with the peace of mind that their broker is regulated and safe for them to work with because the entire system is working under a regulatory framework. Lets look at some of the other regulators who oversee the HotForex entity.

Entity RegulatedRegulation Entity
HF Markets (Europe) LtdRegulated by CySEC (Cyprus) registration no. 183/12
HF Markets (UK) LimitedLicensed by FCA (UK) registration no. 801701
HF Markets (DIFC) LtdAuthorized DFSA (Dubai) registration no. F004885
HF Markets SA (PTY) LtdLicensed by FSCA (South Africa) registration no.  46632
HF Markets (Seychelles) LtdAuthorized by FSA (Seychelles) registration no. SD015
HF Markets (SV) LtdAuthorized by FSA SVG registration no. 22747 IBC 2015

In complete the broker is regulated by 7 brokers which bodes well for users. Cyprus, UK, Dubai are tier-1 and tier-2 regulators while Seychelles is a tier-3 regulator. Multiple regulations are generally a sign for a strong broker as it should be aware of safe business practices and have a culture of conducting responsible operations that do not put anyone at risk.

How We Rank Safety & Regulation

If a broker is regulated by a tier 1 broker like the Financial Conduct Authority of UK (FCA), Securities Exchange Commission (SEC), or Australia Securities & Exchange Commission (ASIC) it scores a perfect score. However, if it is regulated from a tier-2 broker like the Cyprus Securities & Exchange it scores an 8. The score for most tier 3 brokers is a 6 and the score for no regulation is 0. Regulation is an important factor for brokers as non-regulated entities can engage in harmful practices for investors that can be detrimental for them.

Is HotForex Safe?

The broker is regulated by 7 entities which bodes really well for users because the list contains tier-1, tier-2 and tier-3 brokers. Hence, the score is a perfect 10 because the broker covers most of the bases that we gauge in this criteria.

HotForex Safety & Regulation Score: 10/10

While researching 100+ of the world’s top brokers, we’ve noticed what works and what doesn’t from the customer’s point of view. That’s why our final test for any broker is to compare it to Capital.com, which scores 91/100 points across the 10 categories mentioned in this review.

HotForex vs. Capital.com

HotForex has a quick sign up process, which coupled with plenty of deposit and withdrawal options and an excellent demo account make it a strong broker. However, there are a few dimensions where Capital.com is much better and a more comprehensive alternative than HotForex.

Capital.com Is Easier To Use

Capital.com has a much more intuitive interface than HotForex. The interface of Capital.com allows you to have some great options to make informed decisions by using algorithms and market information. Similarly, Capital.com has some great charting tools that can help you in trading smartly and profitably.  

More Asset Classes

Capital.com also has some great asset classes like bonds, stocks, CFDs, ETFs, commodities and forex which provides it with a greater product portfolio than HotForex. Building a diversified portfolio is a great way to hedge risk and Capital.com gives you that option by providing you with a plethora of options.

Comprehensive Educational Resources

Capital.com has a lot of educational resources to train any kind of trader looking to deal in any kind of asset. Often brokers offer a few basic educational resources for traders but Capital.com does a good job in this regard and it is with you in helping you learn to trade savvily and efficiently. Some of the resources offered are as below:

  • Tutorial videos on using the platform
  • Educational videos on trading different assets
  • Webinars
  • Educational articles

The resources offered to teach you everything from learning how the platform works to educational videos and webinars. Capital.com also offers asset trading training guides.

Training Guides

  • CFD training guides
  • Commodities training guides
  • Indices trading guides
  • Trading psychology guides
  • Shares trading guides
  • Forex trading guides

Capital.com has you covered if you want to start trading an asset that you have not traded before. They also offer 5 courses that are aimed at training beginners and refreshing the knowledge of experienced traders.

Capital.com Online Courses

  • Introduction to financial markets
  • ABC of derivatives
  • Financial instruments
  • Derivatives and risks of trading
  • What are leverage and margin

The online courses are designed for beginners but anyone can benefit from them in learning the basics and good practices and knowledge of the industry.

Customer Support

Capital.com also has a very good customer support service with a quick email response, a dedicated account manager and an efficient live chat and telephone service. The dedicated account manager is a really good feature of Capital.com as it allows someone to advise you based on your preferences and investment horizon.

Hence, we recommend Capital.com as a much more holistic and comprehensive trading platform compared to HotForex

Related: If you want to learn more about this amazing broker, read this complete review of Capital.com.

HotForex In Summary

HotForex is a decent broker with a good trading platform where you can get started with trading right away. Similarly, it is regulated as well and provides a plethora of deposit & withdrawal options. A good feature in HotForex is that there is a range of accounts that you can choose to trade with depending on your spread and leverage requirements. If you are an experienced forex trader or someone looking to get started in trading, you may want to sign up with HotForex using the link below.

HotForex is a decent application that allows you to trade a myriad of assets. However, Capital.com has a wider asset breadth to provide you with more trading options. Similarly, Capital.com has some great customer support that will help you make the most of the trading platform. The interface of Capital.com is much more intuitive coupled with some great charting tools it can help you in trading profitably. Click the link below to join Capital.com for an educational and comprehensive trading platform.

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